BILL NUMBER:  S7372

 TITLE OF BILL :  An act to amend the insurance law, in relation to
prohibiting motor vehicle insurers from discriminating based on
education or occupation

 PURPOSE OR GENERAL IDEA OF BILL :

The purpose of this bill is to protect consumers from discrimination
based on education or occupation by prohibiting motor vehicle
insurance companies from making any distinction or discrimination as
to premiums, rates, or in any other manner based solely on the
education or occupation of the policy holder.

 SUMMARY OF SPECIFIC PROVISIONS :

This bill would prohibit all motor vehicle insurers doing business in
the State from making any distinction or discrimination between policy
holders based solely on education or occupation. This prohibition
extends to premiums, rates, and the issuance or renewal of a policy.

 EFFECTS OF PRESENT LAW WHICH THIS BILL WOULD ALTER :

Adds a new § 2616 to the Insurance Law.

 JUSTIFICATION :
              

In a recent report published by New York Public Interest Research
Group indicated that three of the top five motor vehicle insurers in
the State considered education when setting premiums and two
considered occupation. The difference in premiums and rates was
staggering. One of the state's largest insurers charged a retail clerk
with a high school education 41% more annually than a bank executive
with a college degree. This report found that even when drivers with
less professional jobs and less education had better driving records,
they still paid as much as 24% more annually than drivers with poorer
records but who had more education or a professional or managerial
job.

Research has shown that education and occupation are highly correlated
with race, ethnicity, and gender, all of which are protected classes
under law. The Insurance Law further protects many of these classes by
prohibiting insurance companies from charging a higher rate or
refusing to issue solely due to being a member of these protected
class. This bill furthers the intent of the law by ensuring that
insurance companies do not use arbitrary factors that ultimately lead
to discrimination that would otherwise be prohibited.

 PRIOR LEGISLATIVE HISTORY :

New bill. In Senate A9935 of 2013 died in Assembly Rules

 FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS :

None.

 EFFECTIVE DATE :
This act shall take effect immediately.